Kinder Morgan Sinking $1B Into CO2 Pipeline Project

Law360, New York (March 26, 2014, 2:23 PM EDT) -- U.S. midstream giant Kinder Morgan Energy Partners LP said Wednesday it will spend $1 billion on a carbon dioxide development project that includes a 213-mile pipeline in order to support current and future enhanced oil recovery projects in the Permian Basin of western Texas and eastern New Mexico.

Houston-based Kinder Morgan said it will spend $300 million on building the 213-mile, 16-inch diameter Lobos pipeline, which will transport CO2 from the company’s St. John’s source field in Apache County, Ariz., to the Cortez pipeline it operates...